BusinessrecordVMware

VMware sets Oct. 29 as record date for special dividend

VMware Inc.
VMW,
+2.60%

set Oct. 29 as the record date for the company’s $11.5 billion special dividend that will be payable to shareholders in conjunction with the company’s planned spinoff from Dell Technologies Inc.
DELL,
+1.41%
.
The payment date for the special dividend will be Nov. 1, according to the company’s release. As of now, VMware estimates that 39.49% of the special dividend will be treated as taxable, while the remaining 60.51% will be “first treated as a return on capital to stockholders to the extent of their basis in VMware common stock, and thereafter as capital gain.” The company noted that the special dividend’s tax treatment will be based on its earnings and profits through the fiscal year that ends in January and the company doesn’t expect a final calculation on the taxable percentages until after the fiscal year is complete. Shares of VMware have risen 12.2% so far this year as the S&P 500
SPX,
+0.66%

has gained 19.5%.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close
Close